As the owner of a magic store, you know that running a small business comes with many difficulties and considerations. Undoubtedly you’ve worked hard to build your business, and the thought of anything threatening it is disheartening. Are you protected if a disaster were to occur and destroy your store?
It’s always a wise idea to review your emergency plan and insurance coverage so you’re ready for any situation.
An independent insurance agent can assist you in evaluating every aspect of your business to ensure you have the right coverage and help you protect the assets you worked tirelessly for.
Why Do You Need Business Insurance for Your Magic Store?
A multitude of risks faces businesses all the time. While you don’t anticipate anything harmful happening, unfortunately, catastrophic situations do occur. What could happen?
- A tornado causes heavy damage to your building
- An electrical fire wipes out half of your inventory
- An employee slips and breaks her arm
- A customer injures themselves trying a product in your store
There are too many scenarios that could cost your business a lot of money. The right insurance policy can protect you from financial ruin.
What Kind of Business Insurance Do You Need?
You’ll need several different types of coverage for your magic store. Here’s a brief overview of the main ones.
Commercial Property Insurance
Commercial property insurance is an essential layer of protection for your magic store. All of your physical assets like the building and your inventory are covered under this policy. Property insurance protects your business from events like natural disasters, fires, theft, vandalism, and more.
There are several exclusions of covered events, however. Typically, floods and earthquakes are not covered in a basic property policy. The same applies to power failure, computer hardware/software failure, and missing property with no proof of how it was lost.
While property insurance covers many possible losses, it is not enough on its own.
Commercial Liability Insurance
Business liability insurance is important to protect your small business from wrongdoing. Without proper liability coverage, one lawsuit could cause you to shut your doors and lose everything. A standard liability policy includes the following coverages:
Coverage A: Bodily injury and property damage liability
This protects against losses resulting from bodily injury or property damage due to negligence or liability on the part of your business.
Coverage B: Personal and advertising injury
This covers you if an individual or business were to take legal action against you in the case of libel, slander, defamation, invasion of privacy, or copyright infringement in your advertising.
Coverage C: Medical payments
This pays out limited medical costs for injuries suffered by a non-employee on your business premises.
Business Owners Policy
The most affordable and efficient way to go about obtaining coverage would be in the form of a business owners policy (BOP). A BOP combines property, liability, and other coverages deemed necessary for your business.
An independent insurance agent can help you select these coverages to create the best insurance package for your magic store.
Are There Additional Coverages You Need?
A workers’ comp policy is worth considering if you have employees. The policy covers the cost of medical care and lost wages if an employee is injured at work. Each state has its own laws regarding workers’ comp insurance, so refer to your state board for clarification.
A serious accident could easily threaten to close down your business. Business interruption insurance would pay the cost of lost income if a disaster were to occur to your property and prevent you from continuing your operation. It can also pay some ongoing costs such as rent and utilities.
Employment Practices Liability
If you have employees, sometimes situations such as termination, discrimination, and harassment arise. Employment practices liability provides coverage against these types of claims.
How Much Will Business Insurance Cost for Your Magic Shop?
Because no two businesses are alike, insurance premium costs vary between establishments. The size of your business, number of employees, value of your inventory, and other risks all play into the price of insurance.
Affordability is always an important consideration for small business owners. An independent insurance agent understands the importance of cost-effective insurance and can help you find comprehensive coverage at the best price.
The Benefits of an Independent Insurance Agent
Independent insurance agents have access to multiple insurance companies, ultimately finding you the best coverage, accessibility, and competitive pricing while working entirely for you. As your needs change, they'll be there to help you adjust your coverage, up or down, to make sure you're properly protected without overpaying.
TrustedChoice.com Article | Reviewed by Paul Martin
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